my financial affairs for you - Finance Articles 96636

Homeowner Loans
Another bill has just landed through the letterbox and your still haven`t paid the monthly direct debt to the utility firm. You`ll have to sort out funds for your credit cards next week and then there are the catalogue payments to make. It`s the same story each and every month where you struggle to keep on top of your regular payments. Having taken out dribs and drabs of loads over the last few years you now have to pay a number of companies back. What if you could amalgamate all of your loans into one fixed monthly payment? Suppose you could reduce the amount that you pay each month by spreading the payments over a longer period of time. Look into the various Homeowner Loansthat are available at the moment and you could end up paying less in repayments each and every month. Price comparison sites are the places to look if you want one of the Homeowner Loans. They`ll scour the marketplace searching for Homeowner Loansthat will suit your individual needs. Combine all of your debts into one slightly larger loan amount and you should have more money each month that can be put away for a rainy day.

Article01.html
Many people in the UK, in fact as many as one in three UK taxpayers have paid too much tax! The Taxation People, are a forward thinking online accountancy service that specialise in helping people who might be eligible for a tax refund. They offer a online service, with a simple and easy to follow process that will get you the refund you are entitled to. I would urge you to check out The Taxation People, where if you have been or are currently employed The Taxation People can help you get a Tax Refund. The Taxation People are a trading name of Greer & Taylor LLP a respected and trusted accountancy service provider who offers a number of online services. Initially they are only offering the Tax Refund service that can be found at www.thetaxationpeople.com, but Greer & Taylor LLP are about to lauch a cost effective Self Assesment Service, keep an eye on www.greer-taylor.com for more information.

Ever wonder how to figure out you debt to income ratio? Lenders use your debt to income ratio to help them evaluate your creditworthiness and debt load.

Mortgage lenders use your debt to income ratio to calculate what percentage of your income is available for your monthly mortgage payment after all of your other monthly fixed expenses are paid.

To calculate your total debt to income ratio take your total monthly fixed expenses and divide it by your gross monthly income.

Monthly fixed expenses are debts like your monthly mortgage payment, lease or car payment, credit card and any other revolving credit balances that will take more than eleven months to pay off and alimony or child support.

Your gross monthly income is what you make before taxes are taken out. This includes your wages overtime, commissions or any bonuses you get on a regular basis.

Your total monthly fixed expenses divided by your gross monthly income is your total debt to income ratio. It`s what a lender calls the back end of debt ratio.

If you remove the monthly mortgage payment that is what a lender calls the front end debt ratio and that is how they calculate how much of a monthly mortgage payment you qualify for.

When you total your monthly debts, make sure you use only the minimum payment on your credit card statements. You don`t have to include utility bills or any debt that will be paid off in fewer than eleven months.

Here is a sample debt to income ratio calculation:

Total Gross Monthly Household Income = $6,000

Total Monthly Fixed Expenses = $2,160

$2,160 Divided By $6,000 = 36

Total Debt To Income Ratio = 36%

A mortgage lender likes to see your front end debt ratio between 25% and 28% to qualify for a mortgage loan. A good total debt to income ratio with that monthly mortgage payment factored in should not exceed more than 45%.

These figures can go higher if you have a high credit score because that means you have better creditworthiness and will likely pass a lenders home loan guidelines easier.

That`s how to figure debt to income ratio and why it is important especially when you apply for a home loan.

For more information, news and articles see: